How Brokers Can Remain Competitive In The Post-COVID Age – InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Top Stories
Topics
    • Life Insurance News
    • Annuity News
    • Health/Employee Benefits
    • Property and Casualty
    • Advisor News
    • Washington Wire
    • Regulation News
    • Sponsored Articles
    • Monthly Focus
  • INN Exclusives
  • NewsWires
  • Magazine
  • Webinars
  • Free Newsletters
Sign in or register to be an INNsider.
  • Exclusives
  • NewsWires
  • Magazine
  • Webinars
  • Free Newsletters
  • Insider Pro
  • About
  • Advertise
  • Editorial Staff
  • Contact
  • Newsletters

Get Social

  • Facebook
  • Twitter
  • LinkedIn
From The Field Exclusive News
Top Stories RSS Get our newsletter
Order Prints
May 20, 2021 Top Stories No comments
Share
Share
Tweet
Email

How Brokers Can Remain Competitive In The Post-COVID Age

By Kim Buckey

With “normal” finally within sight, brokers and their customers are coming to grips with the ripple effect the COVID-19 pandemic has had on every aspect of the health care industry — and, in many respects, how America does business.

Not only were health care providers affected, but those connected to the health care industry – such as insurers and brokers – also experienced significant shifts in how they address the needs of their customers and employees. Employers, too, are facing new challenges — how to keep employees engaged when they’re working remotely, how to ensure they’re getting the care they need on a timely  and cost-effective basis, and how to retain those employees in the months ahead.

To investigate how brokers are responding to these challenges, DirectPath recently commissioned a survey of more than 100 health insurance brokers. Questions included how their business models are likely to evolve as a result of the pandemic’s aftermath, as well as which services they are currently offering, and which deliver the most business value.

Related stories

  • How captive insurance can save high net worth clients’ hard-earned money
  • 3 ways to reduce employer health care costs in 2023

What Brokers Are Doing

Employee appreciation of their benefits package is a key element of their satisfaction with and loyalty to their employers. With nearly three-quarters of survey respondents noting that clients struggle with employees’ perception of the value of benefits plans and their overall satisfaction with those plans, many employers have asked brokers to equip them with educational materials, tools and technology to help address these challenges.

The health care industry is notoriously complex to navigate – and most consumers have not needed to do so for at least a year, as preventive and elective care services were postponed by the pandemic. As employees begin rescheduling those all-important appointments, it’s more important than ever that they understand how to use their benefits. By helping their clients develop communications campaigns to refresh employees on the basics, or by bringing in partners such as benefits educators and advocacy firms to provide personalized assistance, brokers can help employees chart a course to better health.

Perhaps the most significant topic brokers can address is the concept of shopping for care – something 67% of consumers don’t know is even an option. In 2020, patients who shopped around for care saved more than $21,000 on joint replacements, more than $11,000 on arthroscopic procedures and more than $2,000 on colonoscopies. According to DirectPath’s recent survey, 83% of brokers are providing some sort of health care transparency and clinical advocacy services to help employers contain costs, which another 23% plan to add to meet the growing demand.

New Approaches

The demand traditional broker services is still high – including compliance and reporting needs (40%), employee education (24%), technology innovations (12%), and managing pharmaceutical costs (12%). However, employers are searching for new and different approaches to help them manage costs and attract and retain talent. Of particular interest are health care transparency and clinical advocacy (brokers report interest is up 9% from 2019, to 83%) and benefits communications (up 5% from 2019, to 95%). Meanwhile, demand for personalized benefits education and enrollment support fell 6% to 79%. This showcases that, while a significant majority of clients rely upon brokers to deliver benefits education and enrollment support, there has been a shift in focus from helping consumers choose their benefits, to helping consumers use their coverage.

To meet this shifting demand, 79% of brokers are focusing on providing superior customer service to differentiate themselves from the competition. This has included expanding services to include voluntary benefits – especially those that address top of mind concerns for employees, like infectious disease riders and income protection. They have also focused on leveraging virtual communication channels such as benefits hubs, interactive benefits materials and other resources to ensure employees have the information they need, where and when they need it.

With more than 4 in 10 Americans reporting that they delayed or avoided care as a result of COVID-19, many employees are just now starting to venture back into the world of health care after a year away. Brokers have a significant opportunity to help clients reduce the stresses of navigating this complex industry for their clients’ employees, but it will require creative thinking and expanded services. Those that rest on their laurels during this critical period will find themselves falling behind the competition.

Kim Buckey is vice president of client services with DirectPath. She may be contacted at [email protected].

© Entire contents copyright 2021 by InsuranceNewsNet.com Inc. All rights reserved. No part of this article may be reprinted without the expressed written consent from InsuranceNewsNet.com.

Older

College Students See A Bright Future, AIG Survey Shows

Newer

Asian Americans Worried About Lost Income In The Wake Of COVID-19

Advisor News

  • Some major REITs limiting cash-out requests from investors
  • Four stages of retirement planning
  • Can you work while on Social Security?
  • Even on $100K-plus, more Americans are living paycheck-to-paycheck
  • Opinion: the state wealth-tax alliance
More Advisor News

Annuity News

  • Sweet streams of income: ChatGPT, the bard of annuities
  • F&G Annuities & Life announces equity investment in life IMO SYNCIS
  • Investors scrambling to lock in rates propel annuity sales to record highs
  • North American and Annexus launch new fixed index annuity
  • Producers stew as insurers slow to process life and annuity applications
More Annuity News

Health/Employee Benefits News

  • Medicaid coverage is expiring for millions of Americans – but there's a proven way to keep many of them insured
  • Health savings account balances increase in 2021
  • Outcome Health trial gets underway with prosecutors alleging former execs were involved in $1 billion fraud scheme
  • Bill incentivizing gun owners to secure firearms addresses public health concern
  • With CalPERS, add another to list of California's botched projects
More Health/Employee Benefits News

Life Insurance News

  • NAIFA’s Future Leaders Program offers free sessions for students
  • Scott Boutin named president of Standard Security Life
  • Agent insists Alex Murdaugh suggested he killed his son
  • 78% of families suffer financially handling estate affairs
  • National Life expands living benefits suite
Sponsor
More Life Insurance News
The time is 07:02:56am test

- Presented By -

Top Read Stories

  • Investors scrambling to lock in rates propel annuity sales to record highs
  • Chicago news roundup: PPP fraud uncovered in Chicago, informant reveals $100K bounty on FBG Duck and more
  • For some, nothing to fear from taking RMDs, professor says
  • Study: Education level should drive decisions on Social Security, annuities
  • North Carolina businessman pleads guilty in multi-million tax fraud case
More Top Read Stories >

FEATURED OFFERS

Meet Encova Life
We know agents matter. You can count on our life team to be high tech, high touch and responsive.

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Life Insurance News
  • Annuity News
  • Health/Employee Benefits
  • Property and Casualty
  • Advisor News
  • Washington Wire
  • Regulation News
  • Sponsored Articles
  • Monthly Focus

Top Sections

  • Life Insurance News
  • Annuity News
  • Health/Employee Benefits News
  • Property and Casualty News
  • AdvisorNews
  • Washington Wire
  • Insurance Webinars

Our Company

  • About
  • Editorial Staff
  • Magazine
  • Write for INN
  • Advertise
  • Contact

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2023 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • AdvisorNews

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.